Jacqueline Coke-Lloyd, executive director of the Jamaica Employers' Federation. - File

Amitabh Sharma, Business Reporter

Jamaica is to forge closer commercial ties with the world's most friendly country for investors and second for doing business by entering a pact with Business New Zealand (BNZ), an advocacy group for enterprise and business development.

A memorandum of understanding to be signed May 3 by Jamaica Employers' Federation (JEF), Jamaica Trade and Invest and BNZ will cover business research initiatives and the sharing of information between entrepreneurs of both countries, exchange of temporary workers, examination of emerging industries and services and internship or exchange programmes between employers.

"We saw partnering with Business New Zealand as a logical next step in providing new business opportunities to our members and by extension all Jamaicans," said Jacqueline Coke-Lloyd, JEF executive director.

The pact is meant to create opportunities for small and medium companies in particular.

The World Bank in 2005 ranked New Zealand as the easiest with which to do business out of 155 economies, and No. 2 in 2006 out of 175 economies. New Zealand switched slots with Singapore both years, but retained the top ranking for 'investor protection'.

Jamaica was ranked down two places last year to No. 50 in the annual business friendly ratings.

The report tracks a set of 10 regulatory indicators related to business startup, operation, trade across borders, property transfer, payment of taxes, and closure of a company by measuring the time and costs associated with various government requirements.

New Zealand, a quarter of whose US$106 billion economy is built on exports, is considered a prosperous and modern country, with per capita income of US$26,000 - eight times Jamaica's.

The country transacts business mainly with the larger economies - Australia 21 per cent, United States 14 per cent, Japan 10.6 per cent, China 5 per cent, and the United Kingdom 4.7 per cent.

Over the past two decades, it has been switching from a largely agrarian to an industrialised society, but agriculture still accounts for about half its exports.

New Zealand, whose population tops 4.18 million, shares with Jamaica a passion for cricket, rivalry in netball, and both have vibrant industries linked to tourism, finance and mining, but the countries have had a limited commercial relationship, perhaps because of their geography - New Zealand positioned in the South Pacific, and Jamaica in the Caribbean.

"Despite cricket, there has definitely been a lack of bilateral activity between the Caribbean and New Zealand," said Phil O'Riley, chief executive officer of Business New Zealand.

"I am very excited about the MOU that will be signed between our organisations," O'Riley added.

Through this MOU, the parties say, Jamaican businesses can look into exploring new markets distance notwithstanding.

"As globally mobile capital reorganises business firms, it sweeps away conventional thoughts of how business should be done," said Coke-Lloyd.

The agreement is to be signed in Kingston on May 3 ahead of JEF's 25th Annual Business and Workplace Convention to be held in Ocho Rios, St Ann.

"I am looking forward to working together to facilitate an agreement between our respective governments that will increase trade and strengthen businesses in both of our countries," O'Riley said.

amitabh.sharma@gleanerjm.com